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Description
Yves explains how the EOS EVM creates a closed loop incentive mechanism that will benefit EOS token holders and potentially offset the costs of running the ENF itself.
Excerpted from the April 20th EOS Community Fireside Chat
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A
The
eos
token
holders
are
the
largest
shareholders
of
the
evm
product,
so
there's
direct
benefit
if
the
evm
becomes
successful,
direct
benefit
back
to
the
eos
token
holders.
The
model
and
the
approach
that
we
took
is
very
similar
to
what
a
crown
corporation
is
in
canada.
There's
three
different
ways.
As
I
see
them,
one
is
that
we
sponsor,
and
we
fund
the
code
itself,
the
public
good
itself,
and
we
just
don't
do
anything
else.
A
We
just
leave
it
and
we
wait
until
somebody
in
the
community
any
developer
or
any
business
picks
that
up
and
makes
a
product.
We
obviously
did
not
want
to
leave
that
to
chance.
We
don't
have
the
luxury
of
waiting.
Eos
does
not
have
that
luxury,
and
so
really
that
wasn't
an
option.
The
other
two
options
on
the
table
were
the
enf
itself,
making
a
product
of
that
public
good.
A
Now
part
of
the
issue
was
that
is,
as
you
all
well
know,
the
enf
team
until
very
recently
was
only
zach,
and
I
we
didn't
have
any
developers.
We
didn't
have
any
anybody
else
other
than
zach,
and
I
so
that
was
really
not
an
option
either
and
we
could
have
grown
a
team
to
be
able
to
do
that.
But
what
we
want
to
do
with
the
nf
is
really
keep
the
enf
focus
as
being
eosio
the
product
or
eos
the
product
and
not
actually
having
product
ourselves.
A
A
We
don't
want
our
decisions
and
roadmap
to
be
influenced
by
whether
or
not
we
have
a
particular
stake
in
a
particular
product
that
belongs
to
us,
and
so
the
way
that
we're
approaching
it
is
very
similar
to
what
we
talked
about
a
while
back,
which
was
the
enf
ventures
route,
which
is
having
shares
in
a
product
or
in
in
something
that
benefits
the
token
holders.
And
if
that
is
successful,
and
that
is
being
run
by
a
third
party
that
also
has
interest
in
seeing
that
success,
that
the
eos
token
holders
come
and
benefit.
A
The
enf
is
a
non-for-profit
and
its
mandate
is
to
enable
developers,
businesses
and
individuals
to
build
on
eos.
In
order
to
keep
our
non-profit
designation
status,
we
have
to
deploy
the
capital
that
we
do
have
as
revenue
back
as
expenses.
On
the
main.
We
have
no
choice,
it
has
to
benefit
them,
and
so
the
idea
is
if
we
can
generate
revenue
elsewhere,
then
that
revenue
has
to
go
back
to
the
mainnet
now
right
now.
The
em
and
f
has
a
cost
to
the
mainnet
right.
A
We're
leveraging
tokens
that
are
that
come
from
inflation,
saving
and
or
those
that
we
had
at
the
onset
from
the
I
guess:
legacy
name
and
ram
fees.
Now
imagine
a
future
where
the
investments
that
the
enf
has
made
now
generate
revenue.
That
revenue
has
no
choice.
It
has
to
be
offset
by
an
expense
as
per
not-for-profit
designation
status,
as
well
as
our
mandate
as
to
where
that
needs
to
be
deployed.
If
those
particular
bets
are
actually
quite
lucrative,
that
revenue
could
come
in
offset
100
of
all
the
inflation
needs
that
we
have
on
the
ecosystem.
A
So
really
the
vision
is
to
have
at
some
point
the
enf
be
able
to
continue
operations
without
having
any
cost
to
the
chains
to
do
so,
and
it
can't
generate
a
profit,
so
it
has
to
take
that
revenue
and
deploy
as
an
expense
on
the
mainnet.
The
evm
is
the
first
flagship
product
to
test
that
model,
and
then
the
idea
is
then
enabventures
would
be
kind
of
the
scalable
functionality
of
that
process
that
we're
now
testing
out
with
this,
and
so
that's
the
third
approach.
A
The
first
approach
was
just:
do
nothing
and
leave
it
for
chance.
Second
approach:
the
enf
actually
runs
the
product.
I
just
explained
why
we
weren't
gonna.
Do
that
third
approach.
We
have
shares
and
we
subsidize,
or
we
make
a
strategic
bet
like
we
have,
whenever
we're
giving
grants
or
whenever
we're
making
pomelo,
for
example,
eden,
for
example,
the
recognition
grants
the
blue
papers,
the
working
groups,
etc.
A
Those
are
strategic
bets
that
we're
making,
but
this
is
the
first
time
that
we're
making
a
strategic
bet
and
we're
actually
getting
equity,
and
if
that
is
successful,
now
we
have
incentives
in
line
we've
got
that
product
team
that
has
shares
in
that
product
itself.
So
they're
incentivized
to
see
this
work
well
they're
incentivized
to
see
this
grow
because
they
could
benefit
from
that.
We
also
then
abstract.
A
If
you
look
at
how
traditional,
let's
say,
public
services
are
run,
governments
are
typically
the
worst
person
to
run
products
because
they
don't
necessarily
feel
the
cost
that
those
products
run
right
because
they're
essentially
using
taxes.
In
our
case,
it's
the
inflation,
and
so
the
idea
is
then
this
product
team
is
incentivized
to
see
it
grow,
but
because
we've,
the
token
holders
have
made
a
strategic
bet
in
them.
We,
the
token
holders,
benefit
from
that,
so
the
incentives
are
more
aligned.
A
The
idea
is
that
the
operations
should
be
leaner
and
more
lucrative
or
more
strategic
from
their
point
of
view
from
the
business
point
of
view
and
and
that
really
creates
kind
of
that
closed-loop
incentive
mechanism
that
I
think
a
lot
of
us
thought
of
when
we
first
thought
of
the
ico
sale
going
to
block
one
or
eos
bc,
where
the
shareholders
would
be
the
token
holders.
That's
what
we've
been
trying
to
create
with
the
enf
and
really
this
is
the
first
flagship
product
for
them.